So, we've got Bitcoin dominance rising, which usually means there’s a lot of buying pressure on BTC and selling pressure on altcoins. Because of that, it's kinda expected to see altcoin prices drop. But what's weird is that Bitcoin's price is tanking too. It’s down to $97k today, and altcoins are taking a serious hit as well. So, is this the end of BTC's bull run? What’s causing this sudden drop in Bitcoin’s price?
BTCDOM up but BTC is going down
18 replies 298 views
Trade war initiated by Trump
The market is temporarily reacting negatively to the news and Gold gaining more
It's quite normal during geopolitical crisis like this, Before fall first before rising.
A day or a week dip doesn't mean we in a Bear market
BTCDOM shows Bitcoin dominance in relation to the others and nothing more in my book.
CyberTokenSenior Member
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#3Sep 1, 2023, 03:58 PM
Are you aware of the fact that every time bitcoin drops altcoins drop much more?
Also, bitcoin dominance is always the highest in bear markets, not in bull runs!
This is very easy to explain. Bitcoin is the safest and the most stable of all cryptocurrencies mainly due to its large market cap and a huge number of long term holders.
When the market goes down people first exit investments they don't fully trust and don't believe in, which is why they dump all the Trump coins, Doges, and things like that, but still continue to hold bitcoin.
As a result, total market cap of all coins goes down and bitcoin dominance goes up.
At the moment the small correction is mostly due to gold. People saw gold make ATH and sold everything to catch the train.
Good thing in all this is that there are no issues with bitcoin and historically it's been known for making new highs during gold rushes.
cold5tor4geSenior Member
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#4Sep 1, 2023, 09:26 PM
Bitcoin market speculators are too short time-sighted to the point that less than 24 hours dip becomes a bear market to them and that is not supposed to be so, most times we need to play the role of time analysis more than we do to price actions, most times Bitcoin movement is just like this and we can't have a one direction Price movement when you see Bitcoin rising speedily you should expect a dip also, this is what we call market correction and not a bear market yet, it will become a bear market if the trends downward continue for at least 2 months to three months then we can now declare a full bear market, but at this point, Bitcoin is just on a correction mood and anything can happen any moment from now.
DarkR0ck3tFull Member
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#5Sep 1, 2023, 11:53 PM
Altcoins just follow the path of bitcoin, so its normal to see altcoins are dropping massively when bitcoin starts to drop its price. And this might be happening due to a stock market sell-off. Risk-off has been happening when DeepSeek scares investors, thus expecting a small financial crisis for bitcoin which I dont think is bad enough since it could be a perfect entry then for new bitcoin investors.
Look how the BTC DOMINANCE pumped!!
This is a mega pump on Bitcoin Dominance in just a short period of time. It's already above 60%, even though everyone is expecting an altcoin season but the opposite happened, so it could be people who sold their altcoins and just bought Bitcoin. This is just a normal move from King Bitcoin.
An increase of Bitcoin dominance means that investors prefer to invest into Bitcoin compared to altcoins especially in market downturns like what's happening right now, and since they are shifting from investing into altcoins to Bitcoins, the demand will go up hence, price increases. It will not happen overnight though, but an increase in Bitcoin Dominance is a good sign... or is it.
Trump's move where he imposes huge tariffs against China, Mexico and Canada. This triggered the huge downfall on the crypto market.
Speaking of sudden drop,
Just look at how much money got liquidated in the last 24 hours. A whopping $2.07 Billion has been liquidated. On the flipside, I saw a post regarding somebody who shorted Ethereum and is now up $150+ Million already. I guess when someone is losing money, somebody's also making money as well. I hope that everybody's okay still despite of what's happening, and if you have spare funds, use it to buy some Bitcoins... I guess.
people are panicking and money going into stablecoin I guess, as you can see USDT dominance is going up,
and this happens a lot at the time like this, basically, if BTC dom increase, USDT dom increase, while BTC price falling, this mean a big massive dump for altcoin.
I'd expect the altcoin to keep getting down until BTC reached 68-69% dominance though, it's hard time for altcoin.
orbit_rocketFull Member
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#9Sep 3, 2023, 02:03 PM
We've experienced much more worse than the present. Bitcoin price was crossed to $63K and then it went to $32K, almost 50% drop in the previous super cycle. So, if we use the current rate, Bitcoin price could drop to $50K, $93K is much more high than $50K.
Dunno what's behind from this dump, but El Salvador revokes it's Bitcoin legal tender status from mandatory to voluntary.
quantumbearHero Member
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#10Sep 3, 2023, 05:08 PM
Since when Trump posted on X that he is going to increase import tariff for Chinese to 10% and 25% for both Canada and Mexico, the price of United States stocks and cryptocurrencies decreased massively. So the price of bitcoin that falls recently while other cryptocurrencies follows is as a result of the import tariff imposed by Trump on the three countries. He said EU tariff increase is also coming.
CyberTokenSenior Member
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#11Sep 3, 2023, 09:51 PM
It doesn't work like that. Bitcoin had a 50% drop in 2021 before reaching another ATH, but this wasn't a normal price action. I believe it had only happened once before (in 2013).
This doesn't mean such situation will repeat this year, or ever again.
IMO 50% corrections in bull markets are behind us due to ETFs and institutional interest. Bitcoin has become much more stable and you can see it by how it holds $100k in this bull market.
In 2017 it corrected 25% or more a couple times during a bull run year. Nowadays it's more like 10%.
No one knows for sure if the Bull run is over but we're all hoping for another pump with the rumors circulating, but even if it already ended for now, it stops nothing Bitcoin is still Bitcoin ( fine we will have massive profit taking(maybe) plus sell pressure from short term investors and traders).
You are doing what exactly they want you to do , Panic..
Besides are you only after the bull run?? The market gave you your answer already anyway.
So what do you expect? Bitcoin prices continue to rise without any decline? I think prices going up and down are normal because going up and down has become the cycle of bitcoin's life. I believe this price drop is only temporary and the price of bitcoin will recover soon. If you think the bullish trend has ended, immediately sell your Bitcoin.
Of course, the bad thing is that this forum is full of people as short-sighted as the OP, who worry about small downturns that pass in a few days.
To me the fact that the dominance is going up and the price going down simply indicates that there has been a generalized downturn in the markets and that even so, the price of bitcoin is revaluing relative to everything else. It is important to note that there are more and more altcoins. They do not stop. And yet bitcoin takes by far more than half of all the money in the crypto world.
I do not have a problem with the up and down of the price because that gives more chances to buy low and sell high. People should understand that the movement will be like that. So when they can use this moment, they will profit and hold their Bitcoin when they can buy at a dip.
This price drop is temporary so they should not too worry and wait for the rise of the price. The bullish trend is not end but will increase in the right time. While they have more time to accumulate more Bitcoin, they should use this moment to buy back at a low price.
SilentYieldSenior Member
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#16Sep 4, 2023, 01:21 PM
There is nothing strange about the rise and fall of bitcoin prices because bitcoin is like that in every cycle, so BTCD sometimes pumps sometimes Dumps which do not even have a big effect on price movements to the market, it becomes another story in bitcoin price movements.
Take it easy, friends, even though we will be corrected, this cycle will not be too deep, prepare your cash when bitcoin experiences a decline again and again, Bitcoin always pulls back after touching the support price at $ 98k-$ 90k quickly and even when you fall asleep in an hour.
The same pattern and style if you look at the details but those who want to chase the wrong profit, the pattern is not needed because they only chase profit when volatility occurs. The investor mentality must be there if you want to win in the future of course.
D4rkFalconSenior Member
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#18Sep 5, 2023, 02:39 AM
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Well the main factor that impacted bitcoin price today is ofcourse fundamental aspect like economic news the example is recent tariif from trump and other thing too.
The bitcoin dominance is really the best indicator for altcoin season but if we take a look the chart we gonna see.
If bitcoin dominance reached 2600 ish I believe the altseason would come
We have seen what Trump does lately, when he had tariff wars with Mexico, Canada and China. And this what brings the price down in the last week or so. Although it shows some rally to get into that 6 digits again, I guess there is selling pressure and now we are trading in around $95k-$97k.
If we are going to based on the cycle, we are still in the bull cycle, we just started this month so it's a long way to go. You don't need to worry though, this is just part of the process, I mean it's not that we will see the price going on parabolic rise, sometimes we need this kind of correction so that many others can get inside the market.